DTE ENERGY COMPANY (DTE) Stock Fundamental Analysis
USA - NYSE:DTE - US2333311072 - Common Stock
135.11 USD
+1.13 (+0.84%)
135.11 USD
0 (0%)
Overall DTE gets a fundamental rating of 3 out of 10. We evaluated DTE against 25 industry peers in the Multi-Utilities industry. While DTE is still in line with the averages on profitability rating, there are concerns on its financial health. DTE is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year DTE was profitable.
In the past year DTE had a positive cash flow from operations.
In the past 5 years DTE has always been profitable.
Each year in the past 5 years DTE had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.86%, DTE is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
DTE has a better Return On Equity (12.28%) than 84.00% of its industry peers.
Looking at the Return On Invested Capital, with a value of 4.08%, DTE is in the better half of the industry, outperforming 64.00% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for DTE is in line with the industry average of 3.82%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.86% | ||
| ROE | 12.28% | ||
| ROIC | 4.08% |
ROA(3y)2.84%
ROA(5y)2.76%
ROE(3y)11.66%
ROE(5y)11.27%
ROIC(3y)4.42%
ROIC(5y)4.29%
1.3 Margins
DTE's Profit Margin of 10.13% is on the low side compared to the rest of the industry. DTE is outperformed by 76.00% of its industry peers.
In the last couple of years the Profit Margin of DTE has grown nicely.
DTE's Operating Margin of 15.14% is on the low side compared to the rest of the industry. DTE is outperformed by 96.00% of its industry peers.
DTE's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.14% | ||
| PM (TTM) | 10.13% | ||
| GM | N/A |
OM growth 3Y18.54%
OM growth 5Y4.53%
PM growth 3Y22.97%
PM growth 5Y4.07%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), DTE is destroying value.
DTE has more shares outstanding than it did 1 year ago.
The number of shares outstanding for DTE has been increased compared to 5 years ago.
The debt/assets ratio for DTE is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.99, we must say that DTE is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.99, DTE is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
A Debt/Equity ratio of 2.01 is on the high side and indicates that DTE has dependencies on debt financing.
The Debt to Equity ratio of DTE (2.01) is worse than 76.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.01 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.99 |
ROIC/WACC0.63
WACC6.42%
2.3 Liquidity
DTE has a Current Ratio of 0.94. This is a bad value and indicates that DTE is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of DTE (0.94) is comparable to the rest of the industry.
DTE has a Quick Ratio of 0.94. This is a bad value and indicates that DTE is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.57, DTE is not doing good in the industry: 64.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.57 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 10.45% over the past year.
Measured over the past 5 years, DTE shows a small growth in Earnings Per Share. The EPS has been growing by 1.63% on average per year.
DTE shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 14.55%.
The Revenue has been decreasing by -0.34% on average over the past years.
EPS 1Y (TTM)10.45%
EPS 3Y-0.39%
EPS 5Y1.63%
EPS Q2Q%-4.9%
Revenue 1Y (TTM)14.55%
Revenue growth 3Y-5.93%
Revenue growth 5Y-0.34%
Sales Q2Q%18.92%
3.2 Future
Based on estimates for the next years, DTE will show a small growth in Earnings Per Share. The EPS will grow by 7.16% on average per year.
The Revenue is expected to grow by 4.94% on average over the next years.
EPS Next Y6.76%
EPS Next 2Y6.94%
EPS Next 3Y7.24%
EPS Next 5Y7.16%
Revenue Next Year5.24%
Revenue Next 2Y4.71%
Revenue Next 3Y4.53%
Revenue Next 5Y4.94%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 18.79 indicates a rather expensive valuation of DTE.
64.00% of the companies in the same industry are cheaper than DTE, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 27.20, DTE is valued a bit cheaper.
The Price/Forward Earnings ratio is 17.30, which indicates a rather expensive current valuation of DTE.
64.00% of the companies in the same industry are cheaper than DTE, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of DTE to the average of the S&P500 Index (22.70), we can say DTE is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.79 | ||
| Fwd PE | 17.3 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of DTE indicates a slightly more expensive valuation: DTE is more expensive than 64.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 12.95 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)2.78
PEG (5Y)11.54
EPS Next 2Y6.94%
EPS Next 3Y7.24%
5. Dividend
5.1 Amount
DTE has a Yearly Dividend Yield of 3.19%.
Compared to an average industry Dividend Yield of 3.64, DTE has a dividend in line with its industry peers.
DTE's Dividend Yield is a higher than the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.19% |
5.2 History
The dividend of DTE has a limited annual growth rate of 1.15%.
DTE has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of DTE decreased in the last 3 years.
Dividend Growth(5Y)1.15%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
DTE pays out 58.44% of its income as dividend. This is a bit on the high side, but may be sustainable.
DTE's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP58.44%
EPS Next 2Y6.94%
EPS Next 3Y7.24%
135.11
+1.13 (+0.84%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners79.61%
Inst Owner Change0.26%
Ins Owners0.35%
Ins Owner Change1.36%
Market Cap28.05B
Analysts75.65
Price Target146.76 (8.62%)
Short Float %2.04%
Short Ratio3.53
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.19% |
Yearly Dividend3.92
Dividend Growth(5Y)1.15%
DP58.44%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.08%
Min EPS beat(2)-4.01%
Max EPS beat(2)4.17%
EPS beat(4)3
Avg EPS beat(4)5.41%
Min EPS beat(4)-4.01%
Max EPS beat(4)17.09%
EPS beat(8)4
Avg EPS beat(8)2.58%
EPS beat(12)8
Avg EPS beat(12)3.02%
EPS beat(16)10
Avg EPS beat(16)3.12%
Revenue beat(2)2
Avg Revenue beat(2)24.93%
Min Revenue beat(2)21.72%
Max Revenue beat(2)28.14%
Revenue beat(4)3
Avg Revenue beat(4)12.26%
Min Revenue beat(4)-3.52%
Max Revenue beat(4)28.14%
Revenue beat(8)4
Avg Revenue beat(8)-4.64%
Revenue beat(12)6
Avg Revenue beat(12)-1.16%
Revenue beat(16)10
Avg Revenue beat(16)8%
PT rev (1m)0.04%
PT rev (3m)1.07%
EPS NQ rev (1m)0.22%
EPS NQ rev (3m)2.52%
EPS NY rev (1m)0.11%
EPS NY rev (3m)0.2%
Revenue NQ rev (1m)-0.52%
Revenue NQ rev (3m)7.89%
Revenue NY rev (1m)1.42%
Revenue NY rev (3m)1.84%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.79 | ||
| Fwd PE | 17.3 | ||
| P/S | 1.98 | ||
| P/FCF | N/A | ||
| P/OCF | 7.85 | ||
| P/B | 2.39 | ||
| P/tB | 2.92 | ||
| EV/EBITDA | 12.95 |
EPS(TTM)7.19
EY5.32%
EPS(NY)7.81
Fwd EY5.78%
FCF(TTM)-3.12
FCFYN/A
OCF(TTM)17.2
OCFY12.73%
SpS68.41
BVpS56.47
TBVpS46.21
PEG (NY)2.78
PEG (5Y)11.54
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.86% | ||
| ROE | 12.28% | ||
| ROCE | 4.63% | ||
| ROIC | 4.08% | ||
| ROICexc | 4.08% | ||
| ROICexgc | 4.27% | ||
| OM | 15.14% | ||
| PM (TTM) | 10.13% | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)2.84%
ROA(5y)2.76%
ROE(3y)11.66%
ROE(5y)11.27%
ROIC(3y)4.42%
ROIC(5y)4.29%
ROICexc(3y)4.42%
ROICexc(5y)4.3%
ROICexgc(3y)4.67%
ROICexgc(5y)4.61%
ROCE(3y)5.1%
ROCE(5y)4.92%
ROICexcg growth 3Y1.26%
ROICexcg growth 5Y-0.35%
ROICexc growth 3Y1.83%
ROICexc growth 5Y1.34%
OM growth 3Y18.54%
OM growth 5Y4.53%
PM growth 3Y22.97%
PM growth 5Y4.07%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.01 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.98 | ||
| Cap/Depr | 236.36% | ||
| Cap/Sales | 29.71% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 90.75% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.57 | ||
| Altman-Z | 0.99 |
F-Score5
WACC6.42%
ROIC/WACC0.63
Cap/Depr(3y)244.33%
Cap/Depr(5y)251.76%
Cap/Sales(3y)28.1%
Cap/Sales(5y)28.24%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)10.45%
EPS 3Y-0.39%
EPS 5Y1.63%
EPS Q2Q%-4.9%
EPS Next Y6.76%
EPS Next 2Y6.94%
EPS Next 3Y7.24%
EPS Next 5Y7.16%
Revenue 1Y (TTM)14.55%
Revenue growth 3Y-5.93%
Revenue growth 5Y-0.34%
Sales Q2Q%18.92%
Revenue Next Year5.24%
Revenue Next 2Y4.71%
Revenue Next 3Y4.53%
Revenue Next 5Y4.94%
EBIT growth 1Y-3.46%
EBIT growth 3Y11.52%
EBIT growth 5Y4.18%
EBIT Next Year93.2%
EBIT Next 3Y31.33%
EBIT Next 5Y21.11%
FCF growth 1Y42.3%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y37.35%
OCF growth 3Y5.9%
OCF growth 5Y6.58%